S3 E19 Safeguarding Business and Personal Assets Through Estate Planning with Bob Sewell

Leveraging Inspiration: The Inspired Patent Podcast - Season 3 Episode 19 Show Notes

Episode Title: Safeguarding Business and Personal Assets Through Estate Planning with Bob Sewell

Host: Wayne Carroll

Guest: Bob Sewell, Estate Planning and Litigation Lawyer

Episode Overview: In this episode of Leveraging Inspiration: The Inspired Patent Podcast, host Wayne Carroll is joined by Bob Sewell to discuss the critical importance of estate planning, particularly for business owners. They explore real-life scenarios of financial exploitation and the unique challenges faced when planning for the future of personal and business assets.

Key Topics Covered:

1. Introduction and Disclaimer:

• Wayne Carroll introduces the podcast and guest Bob Sewell.
• Reminder that the podcast provides educational content, not legal advice.

1. Financial Exploitation of the Elderly:

• Wayne shares a story about financial exploitation of an elderly person by a care worker.
• Bob explains how cognitive impairment can make elderly individuals vulnerable to financial abuse.
• Importance of being vigilant and proactive in protecting vulnerable adults.

1. Importance of Early Estate Planning:

• Estate planning should be done while individuals are still competent and mentally strong.
• Early planning ensures a more robust and effective estate plan.
• Bob shares a case where a competent individual had a detailed estate plan but was later influenced to make decisions without consulting professionals.

1. Special Considerations for Business Owners:

• Business succession planning is crucial to ensure the continuity of the business after the owner's death.
• Without a clear succession plan, the business may lose value or fail entirely.
• Strategies for passing business assets, for example preparing one heir as the next business owner, and compensating the other family members.

1. Managing Shared Assets like Family Cabins:

• Challenges of passing shared assets like family cabins to multiple heirs.
• Potential conflicts and the importance of having a clear plan, such as using an LLC and operating agreement.
• Long-term implications of passing shared assets through generations.

1. Valuation and Liquidity Issues in Estate Planning:

• Difficulties in valuing and liquidating business assets for estate tax purposes.
• Importance of planning for liquidity to cover taxes and avoid forced sales of business assets.
• Potential solutions like insurance policies to provide liquidity.

1. Litigation and Estate Depletion:

• Litigation over estates can be costly and deplete the estate's value.
• Bob emphasizes the need for mediation and practical solutions to avoid prolonged litigation.
• Example of how estate litigation can turn into a financial drain.

Key Quotes:

• “When you are competent, you should do your estate planning. Not when you think you're going to die.”
• “If the goodwill dies with you, you lose a lot of value.”
• “The family cabin disaster is incredibly problematic and it's really simple to solve with proper planning.”

Resources Mentioned:

• Bob Sewell’s Profile on Davis Miles Website
• Leveraging Inspiration Podcast Website

Call to Action: Listeners are encouraged to visit the podcast websites for more information and to check out Bob Sewell’s podcast for additional legal insights and entertaining topics.

Next Episode Teaser: Join us next time as we delve into the examples of when estate planning is not done, including the estate of Icon Prince with guest Bob Sewell joining us again.

CLICK HERE FOR THE NEXT EPISODE

Contact Information:

• Wayne Carroll: LinkedIn
• Bob Sewell: LinkedIn

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